China Machinery Engineering Corp. (CMEC), the state-owned contractor with projects in Nigeria, Serbia and Ivory Coast, plans to raise roughly $300 million in an initial public offering (IPO) in Hong Kong, sources said.

CMEC, the Beijing-based unit of China National Machinery Industry Corp., now operates in more than 150 countries and regions.

It could begin to gauge demand for the IPO soon. According to an insider, its shares may start trading in Hong Kong in December.

An external spokeswoman for CMEC declined to comment on the IPO plan. However, the insider revealed that ABCI Securities Co., BOC International Holdings Ltd. and ICBC International Holdings Ltd. are among banks arranging the share sale.